Friday, August 13, 2010

Despite being deluged by demands for the government to defer the imposition of the 12 percent value added tax on road tolls, both the Bureau of Internal Revenue (BIR) and the Palace said yesterday that the tax will be imposed on Monday as scheduled unless the Supreme Court issues a hold order.

Unless the SC issues a temporary restraining order (TRO) on the imposition of VAT on tolls nationwide, the BIR will start imposing the tax on Monday, Aug. 16, Malacañang stressed yesterday.

Presidential spokesman Edwin Lacierda maintained that the 12-percent VAT on toll is not a new tax measure.

Internal Revenue Commissioner Kim Henares said the VAT on tolls should not significantly affect the cost of transporting people and goods.

Henares said the measure will not impact heavily on the public because of the input or output formula.

The substantial amount to be collected by the government will go the programs for the poor, she added..... MORE